Draw downs are not a statement about ourselves or our trading they are just part of the game. A draw down is just part of getting to our expected returns. If we want a 50% return a year there is a good chance we will experience a 20% draw down before we get there. […]
Five Questions to Ask Ourselves in a Draw Down. Read More »
The general stock market indexes have had a great rally in the first month of 2013, however most of the former and current leaders have been failing to break out to new high prices recently. The market itself has been rolling over into a price range over the past week. When the market starts rewarding
Four Bearish Canaries In the Bullish Coal Mine Read More »
One of the most important things that successful traders know is when not to trade. It is just as important to know when to stay in cash as it is to know what a correct entry looks like. Some of the best calls I ever made in my trading career was simply not to trade
Ten Times Not to Trade Read More »
The hardest thing about trading is not the math, the method, or the stock picking. It is dealing with the emotions that arise with trading itself. From the stress of actually entering a trade, to the fear of losing the paper profits that you are holding in a winning trade, there are many different
Where Trader’s Emotions Come From and What to Do About it Read More »
There is more than just one way to blow up a trading account. Traders can blow up mentally, emotionally, financially, through an out of control ego, or a refusal to admit when they are wrong. There are many paths of destruction that a trader can travel down, here are four of those paths to avoid.
Five Different Ways Traders Blow Up Read More »
Regardless of anyone’s opinions we are in an up trending market. Potentially the beginning of a baby bull. With that said it is time to look for leading stocks and potential monster stocks for this market cycle not short plays. Here are three stocks I will be watching closely on Monday for entries into using
My TOP 3 Bullish Picks For Monday Morning Read More »
I firmly believe that what truly separates the 10% of winning traders from the 90% that lose is the trader’s mindset. The vast majority of traders think they want to trade until the losses hit them over and over and they just can’t mentally and emotionally handle it and end up quitting entirely. I believe
How Traders Rebound From Losses Read More »
The magic of successful trading is not in someone giving you a trade. It is not in forecasting, predicting, a hot stock tip, or any one big trade. Successful trading does not come from gurus or CNBC. Trading is a profession whether part time or full time it is
Trading: Where the Magic Happens Read More »
If we want to be successful as traders it is crucial that we have great filters. We must filter out all the noise that separates us from the actual price action. In the end it is just us versus the market. We need to seek to learn how to trade from others and not look
In The End We All Must Trade Alone Read More »
How have I had great returns in my trading account while never owning a single share of my biggest winning stocks? I also never shorted the stock of my biggest winning short plays. I also controlled hundreds and at times thousands of shares of stock for minimal capital and caught the majority of many moves
How To Trade With More Options Than Just Long & Short Read More »
There are many reasons I trade, I do not trade just for the money. Money is just a tool, I trade for what can be accomplished with the right amount of money. I trade for peace of mind, I trade for financial freedom, I trade so I can get up in the morning and do
Why I Trade: The Top Ten Reasons Read More »
What do I think will happen with Apple’s stock price after earnings? The current technical price action of the down sloping 50 day and 200 day moving averages and the huge distribution this stock has been under will be colliding with the incredible fundamentals and questions of sustainable growth. What is a trader to do?
Five Ways To Play Apple Earnings With Weekly Options Read More »
If you are feeling down about your trading losses, then this article may put both of these losses into perspective. These losses show how crucial it is to have a price level that will indicate that you were wrong and will need to stop out at. There is no reason to ever take a huge
Twelve of The Biggest Trading Losses in History Read More »
There are things that we do as traders that set us back in our journey to success and lose us money. There are other things that traders do that just destroy themselves. Many of the following things are done daily by the 90% of traders that lose money in the market consistently. If we
Five Things Traders Do to Destroy Themselves Read More »
I prefer above all else to simply enter a position with a break out of a price consolidation to a new high. Preferably a hot growth stock with a new revolutionary product or service. But I will also trade anything that breaks out of a base into a trend,like gold, silver, oil, sector
This Is How I Trade Read More »
Here are seven lessons from Jesse Livermore who is considered by many as one of the greatest traders who ever lived. Lesson Number One: Cut your losses quickly. As soon as a trade is contemplated, a trader must know at what point in time he’ll be proven wrong and exit a position. Risk management should
The Wisdom of Jesse Livermore Read More »
What were the greatest trades of all time? Who made them? Here is a list of the who, what, when, where, and how of the greatest trades that were ever made. While the risk management while executing many of these trades is not what many traders would want, we can see many of these as
The Top Ten Trades of All Time Read More »
Two of the biggest obstacles in trading are managing risk and developing a winning method. However, even if you control your risk on every trade and have a methodology that is a winner, you can still be tripped up by your own mind. Even when effectively managing risk, you will probably lose 10%
The 10 Keys to Winning Mentally Read More »
I believe the key to this market will be in how the SPY trades from here as a proxy for the market. The SPY is currently range bound after the gap up day. While the DIA and QQQ ETFs have both undercut the lows of the gap up day while the SPY has not. A
My Thoughts about the Market Action Read More »
Do you use moving averages in your trading? If not you are missing out on a very simple tool for finding support and resistance levels along with possible trend identification. It is very interesting to lay a 50 day and 200 day simple moving averages on to a chart for the past year. You will
10 Things Traders Need to Know about Moving Averages. Read More »